I hit a parked car...now what happens in a no fault state?

Question

Okay guys, yes this was stupid! Ive gone 16 years with no accidents (knock on wood) and my neighbors had a barbeque and one of thier guest parked right behind my driveway almost in a spot im not accostemed to ever seeing a car. I pulled out and Wham! I gave her my insurance info and she phoned in the claim.. ive never been through this so i dont know what to expect. My insurance co. (Progressive in michigan) said a investigation needs to be done.. (on what!) I was worried about having to pay the deductible because im barly keeping 15 bucks in the acct these days. All the woman could say was that she thought that unless i filed a claim to get my car fixed.. i probably wouldnt pay anything.. my car is 11 years old, has basic insurance.. is this correct. And that to fix her car she would pay her own deductable, any help would be so appreciated. Im freaking out about it.. thank you.

Answer 1

sorry just because it a no fault state dont mean that you should take care you the things you mess up... you turn it in to your she turns it in to hers the companies work it out most of the time and nothing becomes of it but a few times you get sued by the other person company cause your didnt pay or they didnt get what they wanted

Answer 2

No fault generally refers to injury claims which basically means that regardless of who is at fault, you go back to your own insurance carrier for your injury coverage. In your particular loss, you backed out and hit a parked and unoccupied vehicle. As long as there is no question as to wether or not the other vehicle was legally and properly parked on the street, your insurance carrier should accept full liability for the loss. You will have a coverage with them called property damage. This covers damage that YOU cause to other people's PROPERTY. There is no deductible that applies to this coverage. Your carrier is responsible for paying for 100% of the damages you caused as well as covering a rental vehicle for the other driver. If you have damage to your car and wanted it repaired that would come from collision coverage, you will have a deductible and it will apply to this loss. If the other driver files through her own insurance she will need to use her collision coverage and pay her deductible. Then her insurance company will inturn seek reimbursement on her behalf. They call it subrogation. It will include the reimbursement of her deductible along with the damages her insurance company has paid on her behalf.

Answer 3

Your insurance will pay to have the damage fixed, since you were at fault, were backing, and hit a parked car.

To explain MI no fault:

Michigan car insurance laws

Michigan is a no fault state, and every driver must carry two no-fault policies, personal injury protection (PIP) and property protection insurance (PIP), in addition to standard liability coverage.

The PIP package required by Michigan auto insurance laws includes coverage for all medical expenses and up to three years of compensation for lost wages or services. You may be able to earn a premium reduction by co-ordinating PIP with an existing health insurance plan, or by applying a deductible.

The PPI coverage pays for property damage you cause in Michigan up to the sum of one million dollars.

While no fault laws do generally keep a driver from being sued as a result of an accident, there are exceptions. If the accident occurred outside of Michigan or resulted in serious injury or death, the driver may be liable for damages. Liability insurance helps cover these situations (and is also required by Michigan auto insurance laws).

Michigan's liability insurance minimums are 20/40/10. (That's $20,000 per person for injuries you cause to the other party, up to $40,000 for all, and $10,000 for damage you cause to the other party's property in another state.)

Michigan auto insurance companies will also offer optional collision, comprehensive, and uninsured and underinsured motorists bodily injury coverages.

How Michigan auto insurance rates are set

The price of Michigan auto insurance is decided by the behavior of the state's drivers as a whole. Michigan auto insurance companies take the cost of providing insurance for Michigan drivers (this includes settlements and legal fees) and divide it up among the drivers.

But these costs aren't spread around evenly. Instead, the percentage you pay is decided by things like your driving record, your age, where you live, and the kind of car you drive.

Of course, not all auto insurance providers figure their percentages the same way. This means that they will charge different rates on the same driver.

Answer 4

WELL... IT DEPENDS HOW BAD YOU HIT THE OTHER CAR!!! IF IT'S  NOT THAT BAD... YOU SHOULD BE OK,  BUT JUST TO BE SURE... I THINK YOU SHOULD STILL DO WHAT YOU THINK IS BEST BECAUSE YOU NEVER CAN BE TO SURE ABOUT ANYTHING!!!

Answer 5

If you have basic liability then you don't have a deductible of any kind, so quit freaking out.  basic liability coverage means that if you damage somebody elses property, your insurance company will pay to have that repaired, but will not pay to have any damages to your vehicle repaired.  Since you admitted fault, your insurance company will pay in full to repair the other person's vehicle.  Neither you nor her will be responsible for any out of pocket expenditures.